Power prices, market analysis & analytics

The European wholesale power markets are developing quickly, with liquidity growing across the continent. Power professionals in this rapidly moving market need access to independent and reliable information to help them make decisions faster and to the highest possible standard. At ICIS, we provide expert coverage of the power markets in Europe, supplying our customers with the latest over-the-counter price assessments, news, monthly analysis and unrivalled information on the European renewable energy markets, as well as forecasts and forward looking analytics propositions for Germany. Our new and unique hourly PFC will give you an outlook on prices adjusted for the continuously changing generation landscape.

Our comprehensive range of in-depth power price reports are provided by our specialist team of experts, supplying information on established power markets in western and central Europe, as well as the emerging markets of eastern Europe and the Balkans. Countries covered include the UK, Germany, France, Turkey, Bulgaria, Serbia and others.

Our team of analysts focuses on analytical propositions including a day-ahead to day 6 forecast for the German market and a forward looking Hourly Price Forward Curve.

Use ICIS information to:

Access wholesale electricity prices and news

Understand factors impacting power prices

Analyse supply and demand dynamics

Acquire the latest renewable energy market information

Stay up-to-date on robust German day-ahead forecasts

Our Power Resources

European Daily Electricity Markets

The European Daily Electricity Markets report supplies market participants with in-depth coverage of Europe’s power sector.

The coverage includes independent price assessments, indices and analysis on the latest market developments, fundamentals data and daily news stories.

The power package add-on includes further commentary and exchange prices for coal and European carbon markets, as well as analysis of fuel switching trends

ICIS Power Perspective

Power Perspective is an online tool designed to put power market developments into perspective regarding their price impact. Our experts analyse the cross-border impact of national developments and provide you with a roadmap of market drivers throughout Europe. This empowers you to develop the most profitable strategy for your business.

Power Analytics

Highly accurate price forecasts and HPFCs for all trading horizons on the German power market – Intraday, day-ahead and long term. The ICIS price forecasts combine a range of modelling techniques, including regression and neural network approaches, to accurately forecast prices in all situations.

ICIS forecasts for national demand deliver highest accuracy by processing an unusually high number of input variables without overfitting, including highest resolution weather data.

ICIS Power Index (IPI)

The ICIS Power Index (IPI) gives homes and businesses an insight into price trends on the UK wholesale electricity market. Robust energy markets are vital to the UK economy, and the IPI makes electricity price trends and activity more visible and accessible to household consumers and commercial buyers, as well as media and policy-makers.

The IPI is published daily by ICIS, an independent authority on UK electricity market pricing, and is available at no charge.

Power Market Overview

Updated to Q4 2017

European electricity markets are nervous going into the winter of 2017 with supply-side risks related to French nuclear production, low hydropower stocks in southern and eastern parts of the continent and high global coal prices all giving market participants cause for concern. Show more

Supply will pick up quarter on quarter however as winter consumption, which must be met minute by minute, ramps up. The impact of coal prices in particular could lift the overall price of electricity because coal-fired power, although on the way to being phased out in Europe, is still vital for meeting high demand over the winter months.

As is always the case, demand will be key to system security over the winter. The timing of any cold snap – whether it hits Europe before or after the New Year, or sometimes on either side – can influence how comfortable the electricity system is when coping. An earlier cold snap can cause issues if followed by another later in the season.

How do I use the IPI?

Specifically, the IPI shows the average daily price for electricity delivered over the next summer and winter in pounds per megawatt hours (£/MWh), weighted to show the extra demand for electricity in winter.

By accounting for a full year of delivery, the IPI will show the ‘real’ picture for energy price movements across the market – rather than price ‘rises’ based on greater demand during winter, with colder weather and shorter days, or price ‘falls’ because of lower demand in summer.

The IPI shows energy price trends in the UK wholesale market, but not how particular tariffs would be affected, or individual companies’ profit margins. This is similar to a stock market index like the FTSE 100, which shows trends across the market, but does not necessarily reflect the share price movements of an individual company.

Active wholesale markets are important in reaching a fair market value for UK electricity, and the IPI also shows how much electricity is trading for the front two seasons each day. As a result, the volumes used in the IPI indicate the level of participation in the wholesale market.

Why is there a need for the IPI?

The UK’s electricity consumption is bought and sold many times over on the forward electricity markets, as buyers meet sellers to trade and manage their risk over many delivery timescales.

On any given day, there are various ways and places to buy wholesale electricity. Buyers and sellers can also trade wholesale electricity for use on different days, weeks, months, seasons or years. These prices can display a large degree of correlation, but they can also differ greatly. Short-term, daily prices may react to a short-term problem – such as a power station shutting down – but this may have no impact on the cost of electricity delivered on a long-term contract.

These differences often lead to debate over the ‘right’ wholesale price – and more importantly, whether the average price is moving up or down. For example, one person might discuss price trends for longer-term contract deliveries – such as the six-month contract for the next season – while another might refer to the price for electricity delivered each day, which is more volatile.

The IPI is designed to act as a neutral, independent indicator of wholesale market movements.

The IPI also demonstrates the UK electricity market at work, enabling non-industry participants to see price trends at a glance, based on real trading activity reflected by other price benchmarks in use within the industry.